Polish Financial Supervision Authority intensifies supervision over Small Payment Institutions (SPI)

In the supervisory practice of the Polish Financial Supervision Authority, increasing importance is being placed on verifying whether Small Payment Institutions (SPIs) actually perform the payment services they are authorised to provide.

Pursuant to Article 117k(2) of the Polish Act on Payment Services, the commencement date of activity as a Small Payment Institution is deemed to be the date of entry into the register of Small Payment Institutions.

What are the grounds for removal from the payment services register?

From the perspective of an SPI, in supervisory practice there are two key grounds that, as a rule, constitute the main basis for ex officio removal from the register. 

These include:

• • failure by an SPI to commence the provision of payment services it is authorised to provide within 12 months from the date of entry into the register,

• discontinuation by an SPI of the provision of payment services it is authorised to provide for a period exceeding 12 consecutive months.

Removal as a material-technical act

An important, yet often underestimated, risk factor is that removal in this mode generally takes the form of a material–technical act, i.e. an operation performed on the register itself. From a practical standpoint, this means that the company may not receive a formal administrative decision confirming its removal from the register.

Why this constitutes a real business risk

The most undesirable scenario, which we particularly highlight in practice, is where an SPI is removed from the register with a delay relative to the moment when the 12-month inactivity condition was actually met. 

In practice, it is not uncommon for an SPI to restart sales, begin executing transactions and further develop its business following a period of inactivity- only for the entry to be subsequently removed from the register because the 12-month threshold had already materialised historically.

Following removal from the register, any further provision of payment services constitutes activity carried out without the required authorisation. This triggers criminal liability under Article 150 of the Act on Payment Services. Such activity is punishable by a fine of up to PLN 5,000,000, imprisonment for up to two years, or both penalties combined.

Maintain your MIP status- don’t risk delisting and sanctions

MIP status requires active management, ongoing monitoring of the registry, and real operational activity. Lack of control over this area can directly translate into serious business, personal, and criminal risks.

Ensure the operational activity of MIP, monitor the register, and have full control over the status of the institution. Contact us– we will help you secure business continuity and avoid risky surprises.